Raleigh-Based Sensus Metering Systems Buys Louisiana Firm for $45M
Posted June 8, 2006 4:19 a.m. EDT
RALEIGH, N.C. — Sensus Metering Systems
, a provider of automatic meter reading technology, is buying a Louisiana firm in a deal worth more than $45 million.
Sensus is acquiring the assets of New Orleans-based Advanced Metering Data Systems (AMDS) for $45.4 million in cash. Earnouts based on performance could push the value of the deal higher.
The Louisiana firm has developed meter reading services based on radio frequency technology. Sensus has sold AMDS products over the past 18 months.
"The purchase of AMDS' assets takes us to the top level of today's radio-frequency fixed network advanced metering infrastructure systems and complements our current metering and automatic meter reading systems and services," said Dan Harness, chief executive officer and president of Sensus. "Our experience working with the AMDS licensed spectrum AMI technology in the electric utility market has helped us realize the benefits that the system can provide across all of our electric, gas, and water utility customers in North America."
Britton Sanderford, the founder and CEO of AMDS, will become the chief technology officer of Sensus. That is a newly created position.
Sensus traces its roots to Invensys Metering Systems. Invensys sold its metering systems group to a private equity firm in December of 2003. The purchase price was $650 million, according to The Triangle Business Journal. The metering systems group was renamed Sensus Metering Systems.
Sensus operates 25 offices around the world, including nine in North America. The company reported more than $600 million in revenue for the fiscal year ending March 31.